Bitcoin’s New Support Line Is Frighteningly Low And Musk Puts Twitter Bid ‘On Hold’

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Last Updated on 15 May 2022 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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Bitcoin closed off a week from hell with a price around $29k. Traders are now seeking where support levels are sustainable so that a new leg up can be tried in the near future. According to Sam Rule en Dylan Leclair, the new floor should be found around $24k.

They stated:

The key on-chain price areas to watch are still those that make up the cost basis. Currently the market’s realized price is around $24,000 while long-term holders realized price is around $17,000. As short-term holders realize losses, short-term holders realized price has dropped to around $48,000. If we’re to get the long-term holder market capitulation we’ve seen in the past, there’s potentially more downside to come.

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Musk pondering on Twitter buy

Elon Musk claims to have had second thoughts regarding his planned $44 billion purchase of Twitter. Speaking via a (how else of course) tweet on Friday, he stated:

Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users.

This now means that the deal, which could have major implications for the world of crypto as Musk is a strong believer in Bitcoin and Dogecoin, that the deal was temporarily on hold, pending an inquiry into the number of “spam/fake,” accounts that exist on the platform. He later clarified he was still serious about the acquisition.

Critics of the Tesla CEO claim that Musk has taken a look at the markets and feels that given the descending stock values of the past two weeks, he should be allowed to make a lower bid. If Musk decides to walk away altogether, he would lose $1 billion.

Of course, as the Washington Post remarked over the weekend:

Musk is walking a fine legal line when he moves stock prices potentially to his advantage with his tweets.